All Covered Thursday made its second managed service provider acquisition this week with its purchase of WaveTwo, a healthcare-focused firm based in Irving, Texas.
All Covered, a division of Konica Minolta Business Solutions, earlier this week acquired the managed services division of Compuquip Technologies of Miami, expanding the company's footprint in South Florida. All Covered has been on an aggressive acquisition streak in recent years, with WaveTwo marking its sixth major acquisition this year alone. Terms of the WaveTwo acquisition were not disclosed.
All Covered President Todd Croteau said WaveTwo was a desirable acquisition target because of its vertical expertise in the healthcare industry, which along with education and legal is one of the three most important verticals for All Covered. "We looked around and didn't see a lot of healthcare expertise in the MSP market, so WaveTwo is very unique," he said. "We saw an opportunity to not only expand our presence in the Dallas area but also pick up a company with high value in an important industry."
John Arnott Sr., founder and managing partner of WaveTwo, said he was first approached by All Covered a few years ago but wasn't inclined to sell the business. But, the two companies began talking again earlier this year, and Arnott saw advantages to joining All Covered in terms of scaling the business up and expanding WaveTwo's healthcare solutions outside of Texas.
"The timing was right this time because we wanted to take the business national," Arnott Sr. said, "and we felt All Covered was the right partner for that."
Founded in 2002, WaveTwo started out as a pure MSP, but after winning a number of hospitals and physicians offices as clients, the company began to delve deeper into managed healthcare services as well as EMR and business intelligence solutions for healthcare customers. "Where we've been able to differentiate ourselves today is in data analytics," said WaveTwo Senior Partner John Arnott II. "As the healthcare market continues to grow and evolve, we have the data to help doctors reduce costs and improve care."
As with most of All Covered's acquisitions, the vast majority of WaveTwo employees have remained with All Covered. WaveTwo will combine its own healthcare solutions with Konica Minolta EnvisionIT Healthcare solutions, which includes document management and printing and imaging solutions.
PUBLISHED AUG. 24, 2012